Mullen Automotive sees $75M in GAAP revenue for next six months

Mullen Automotive, an electric vehicle manufacturer, announces a strong forecast of $75 million in estimated GAAP revenue over the next six months. The company will immediately reduce $5.5 million in overall spend (operating and investing cash flows), from $12.8 million to $7.3 million. The company will reduce overall spend by executing a 20% reduction in headcount, elimination of passenger vehicle programs, and facility consolidations. Mullen continues to focus on overall near term commercial revenue generation while streamlining operational efficiencies. Revenue and associated gross margin growth will further reduce cash requirements. In recent months, the Company has conducted over 80 vehicle demos or pilots across various industries in the U.S., resulting in important commercial sales progress. Over the next six months, the company expects to ramp up to $12.5 million average per month in revenue, for a total of $75 million in GAAP revenue from both Mullen Commercial and Bollinger Motors sales opportunities. The company is taking immediate steps to reduce operating expenses and overall monthly expenses from over $12.8 million per month to $7.3 million per month for a $5.5 million reduction in expenses. The company has made these significant cuts through the following reductions: 20% reduction in headcount across Mullen operations; Elimination of Mullen FIVE passenger vehicle program; Facility consolidations through termination of property leases and subleasing of non-critical property. “As Bollinger focuses on B4 ramp up production volume and Mullen’s commercial vehicle sales momentum continues, I remain confident that through continued focus on revenue growth and expense reduction our near term cash flow will continue to improve,” said David Michery, CEO and chairman of Mullen Automotive.